Which of the following would decrease margin of safety in UNITS?
A. decrease in contribution margin %
b. Decrease in total fixed cost
C. Both
D. Neither
2.
D) Neither
Following is the formula for margin of safety units
Margin of safety units= Actual sales - Breakeven sales
Decrease in contribution margin, decrease in fixed cost will not have impact
Which of the following would decrease margin of safety in UNITS? A. decrease in contribution margin...
Break Even Units, Contribution Margin Ratio, Multiple Product Breakeven, Margin of Safety, Degree of Operating Leverage Jellico Inc.'s projected operating income (based on sales of 450,000 units) for the coming year is as follows: Total Sales $9,000,000 Total variable cost 6,030,000 Contribution margin $ 2,970,000 Total fixed cost 1.898,820 Operating income $ 1,071,180 Required: 1(a). Compute variable cost per unit. Enter your answer to the nearest cent. S per unit 1(b), Compute contribution margin per unit. Enter your answer to...
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ACC 2302
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